Media Release: City of Hamilton ‘AA+’ credit rating affirmed; outlook is stable

City of Hamilton ‘AA+’ credit rating affirmed; outlook is stable

HAMILTON, ON – S&P Global Ratings (S&P) released its most recent Research Update this week, affirming its ‘AA+’ long-term issuer credit and debt ratings for the City of Hamilton with a stable outlook.

S&P recently realigned their ratings review and surveillance schedule resulting in the release of this Research Update just five months after the previous Research Update, which was released in June.

The ‘AA+’ credit rating and stable outlook reflect the City’s high rankings in almost all categories, including:

Institutional framework – Very predictable and well balanced
Economy – Very strong
Financial management – Strong
Budgetary flexibility – Average
Budgetary performance – Strong
Liquidity – Exceptional
Debt burden – Very low
Contingent liabilities – Very low

The City’s budgetary flexibility continues to be rated as Average due to the impacts of provincially mandated service levels, labour contracts, inflation, challenges deferring capital spending due to aging infrastructure and infrastructure deficit.

Other highlights include:

• The City operates in a very predictable, well-balanced local and regional government framework, which lends to its stability
• Financial management is considered strong due to fiscal prudence, e.g. cost-cutting where possible, including $12M from the City’s 2017 budget
• Strong budgetary performance; the city has mild, yet steady, assessment growth
• Exceptionally high internal liquidity levels complemented by very robust internal cash flow generation reflected in its very high operating surpluses and satisfactory access to external liquidity for refinancing needs
• Very low debt burden and interest costs are expected to remain very modest
• Contingent liabilities such as ownership of businesses, standard employee benefits and landfill post-closure liabilities are modest and do not present significant risks to the City’s debt burden or liquidity

The research update findings are consistent with the City’s continued focus on greater financial acumen through multi-year business planning, business cases with identified good value for money, risks and outcomes, vendor management and standardized project management processes.

Additional Resources

S&P Global Ratings (S&P) Research Update - November 2017 - City of Hamilton

Quotes

"I am extremely pleased with the recent update from S&P Global Ratings that the City of Hamilton rating is once again AA+. We are on the right track. We continue to benefit from strong, robust financial management, allowing us to keep tax increases low while investing in programs, services and infrastructure. This acknowledgment is encouraging and confirms that Hamilton continues to be a thriving municipality.”
Mayor Fred Eisenberger

2017 in Hamilton: The Year of the Gun

While we watch in horror at the senseless loss of life at the hands of crazed gunmen who have terrorized and killed innocent people in Texas and beyond, we are reminded that gun violence and deaths are a problem in Hamilton.

In recognition of this troubling trend, we reached out to the Hamilton Police Service to get a better understanding of this phenomenon in Hamilton.

The graph above was provided by the Hamilton Police Services in response to our questions below. The graph clearly depicts a troubling rise in gun violence , particularily from 2015 and reaching a peak in 2017, and the year's not over yet.

1. Can you provide statistics related to how many deaths occurred by gun violence in Hamilton over the last several years. We are interested in at least a three year to present timeframe, or further back if possible.

(refer to bar graph above) (Note- The Hamiltonian is in the process of verifying whether the stats above reflect deaths by gun violence as asked, or incidents of gun violence. This topic will be updated once we determine that.) 

We have been advised that the graph above does not represent deaths by gun violence but rather the number of shootings. The following stats have been provided as clarification in terms of the number of deaths:

In 2017 (as of Nov 7th), there have been a total of 38 Shootings, 21 Victims and 3 Deaths compared to 22 Shootings, 12 Victims and 7 Deaths in 2016

2. What factors can serve to account to an increase in gun violence in our city? How are the police dealing with this and what other partnerships are being exercised in order to be as effective as possible in curtailing this type of violence?

We believe these shootings are targeted. Targeted means there is a connection between the shooter and the victim. The HPS works collaboratively with other law enforcement agencies at all levels including municipal , provincial, and international to combat illicit drugs and the associated violence that often accompanies the drug subculture. The Investigative Services Division of the HPS is dedicated to gathering intelligence and using it to identify those responsible for these types of crimes. The HPS is a member of the Provincial Weapons Enforcement Unit which focuses of Investigating criminal offences often involving firearms.

3. Some believe that mental health issues are a driving factor in gun violence, while the research seems to suggest otherwise. Do you have any observations with respect to this in the Hamilton experience?

We are still investigating many of these incidents but we know drugs tend to be an underlying motive.  

4. What can you say to Hamiltonians with respect to feeling safe on Hamilton streets, particularly in light of gun violence?

We recognize the impact that a shooting has on our community. One shooting is too many. We take these incidents extremely seriously and Hamilton Police Service is working diligently to identify all those involved.

As a community, we need to work together. We believe there are people out there who have information about some of these crimes. We encourage anyone with information about these crimes to contact HPS at 905-546-4925 or to provide information anonymously, call Crime Stoppers at 1-800-222-8477 or submit your anonymous tips online at www.crimestoppershamilton.com"http://www.crimestoppershamilton.com__

5. Is there anything else you’d like Hamiltonians to know about this issue? 

As a community, we need to continue working together. If you see something, say something. If we mobilize our entire community, the impact on the wellness and safety of all Hamiltonians is limitless. 

Special thanks to Superintendent Ryan Diodati, Head of the Investigative Services Division and to JP of the Hamilton Police Services, for this information.

With LIUNA's Joe Mancinelli -on LIUNA’s planned addition to Hamilton’s downtown core

Artist's Rendering of Tower

Enjoy our chat with Joe Mancinelli, Liuna International Vice President and Manager Central Eastern Canada,  with respect to  Liuna’s newest planned addition to Hamilton’s downtown core:

The following questions were posed to Mr. Mancinelli. His responses are below the questions.

1.Can you tell us a little bit about this new project. What prompted it and how did the partnership with the Hi Rise Group come about?
2. Who is the target group for this project? Who do you envision your customers being?
3. How will this project contribute to community building, especially as it applies to the downtown core?
4. If people are interested, how do they go about finding out more about it?
5. Is there anything else you’d like Hamiltonians to know about this project?

Mr. Mancinelli's reply:

The project spans from King Street East along Hughson North to King William, the length of the City block. 

More specifically,

Brit Floyd – November 4, 2017 - Review

The years melted away as the audience of middle aged rockers (with a smattering of next generation fans in training ) relived their teenage years. The almost sold-out audience was fully captivated and mesmerized from the outset as Brit Floyd opened with the sound of a beating heart, followed by mellow guitar, then keyboard, drums and bass; each successive instrument building into a powerful Floydian medley. Brit Floyd, the phenomenal U.K. based Pink Floyd cover band took us through the 70s, 80s and 90’s with select tracks from all of the most popular albums as well as some of the very early (1967) material and lesser known selections. The audience response effectively mirrored the quality and